Page 629 - ACFE Fraud Reports 2009_2020

Unless otherwise indicated, all loss
amounts discussed throughout the
report are calculated using median
loss rather than mean, or average,
loss. Average losses were skewed by
a limited number of very high-dollar
frauds. Using median loss provides a
more conservative—and we believe
more accurate—picture of the typical
impact of occupational fraud schemes.
Additionally, we excluded median loss
calculations for categories for which
there were fewer than ten responses.

Because the direct losses caused by
financial statement frauds are typically
spread among numerous stakehold-
ers, obtaining an accurate estimate for
this amount is extremely difficult. Con-
sequently, for schemes involving finan-
cial statement fraud, we asked survey
participants to provide the gross
amount of the financial statement mis-
statement (over- or under-statement)
involved in the scheme. All losses
reported for financial statement frauds
throughout this report are based on
those reported amounts.

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